Phalaborwa residents reject new valuation roll and offer 10% increase on taxes only.
Manie Kriel, Chairman of the local Business Chamber called an emergency meeting on Monday with residents of Phalaborwa about the monstrous increase in rates that they are now faced with.
The impressive amount of people who attended the meeting shows the level of frustration building in residents who feel that they are being penalised for living in town.
Kriel told the group how it was not feasible to take the municipality to court as it will be taxpayers money that will be used to foot a legal battle.
“We cannot take ourselves to Court” says Kriel. “We decided to rather sit around the table and come to an agreement like adults, we explained to Council how things are supposed to work and we agreed on a 10% annual increase for taxes” adds Kriel.
Hans Harri, local businessman interjected that the meeting with the council was a good start but that if no agreement can be reached, the residents will not be afraid to take action and close the town.
Furthermore, residents are also up in arms about the inequalities that exist for residents who live in town as opposed to those who live in Lulekani and Namakgale.
“There are palaces built out there and they are living in wealth without paying for property tax and also not paying for water and the people in town are subsidising those residents. They also pay a lower rate for electricity” says Kriel. Ellen Nyathi adds: “we are just too disciplined in town and if we skip payment for one month, our power gets cut off without notice, when some people can be in arrears with hundreds of thousands and never get cut off, it is not fair, and we are sustaining the whole town”.
Another objection came from a concerned business owner who feels that the town is decaying.
She is concerned that the town is being urged to sell itself as a tourist destination but the roads are in a horrendous state and it smells like a sewer with all the blocked drains overflowing. These in addition to high taxes are making the town unattractive.
Small businesses are also hard hit and many small businesses have been categorised incorrectly forcing them to pay the highest rate for their electricity. Residents are advised to:
– Lodge their objections through the Business Chamber by this Friday, giving them the mandate to bargain on your behalf or alternatively individually before the final extended deadline of the end of October.
– Make sure that if you are a small business that you are categorised as such and paying the correct rates
– Focus on the main issues at this time and save other concerns, such as road conditions and service delivery for a later date to win each battle on its own
The municipal manager was invited to attend the meeting, but declined.
